CryoLife Plummets as FDA Orders Product Recall

The company, which processes human tissue, sees its stock price fall more than 60%.

CryoLife ( CRY), a maker of human tissue implants, said it would delay its quarterly filing after the Food and Drug Administration ordered the company to recall some of its products.

On Wednesday the FDA told CryoLife to recall or quarantine vascular and orthopedic tissue processed since last October, saying that the company hadn't adequately adopted infectious disease prevention procedures. Those guidelines are designed to keep bacteria and fungus from contaminating soft tissue.

Because of the order, CryoLife has delayed filing its quarterly results from Aug. 14 until Aug. 19. On the news, shares of the life science stock were diving $3.65, or almost 67%, to $1.83 on Thursday.

CryoLife said it has $14 million in deferred preservation costs for tissue processed since October.